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Italy Buying Guide
After finding your dream property in Italy, how do you
proceed? The first step is to obtain some basic information and negotiate
the general terms of the purchase. You may be asked to sign a reservation
document and pay a small deposit.
Next you need to employ a "Geometra" (local surveyor) to carry out some
checks. Do not sign the Compromesso until these checks have been completed
to your satisfaction.
Checks carried out by the Geometra
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The property description matches the Land Registry definition
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The property was built with planning permission
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Any work or extensions done, have received approval and have had the
relevant taxes paid
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The owners registerd at Land Registry Office are the same as stated by the
vendor.
Compromesso
This a legally binding document - you might want to employ a
solicitor in your own country to check the document before signing.
The second stage is usually spent in negotiating, drafting, signing and
exchanging the contract (Compromesso). This is a binding legal agreement to
complete the purchase at some future specified date. So it is vital to have acquired all the
documentation and search reports necessary to complete the purchase. Italian
law requires all contracts relating to land or buildings to be in writing,
signed by both parties.
Rogito
At completion the formalities take place in the offices of a
local Notary. Notaries have a special duty of drafting the Purchase Deed (Rogito)
and to ensure the proper execution, registration, and payment of all Italian
taxes relating to the completion.
Checks carried out by the Notaio
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The vendor is the legal owner of the property and is
entitled to sell the house
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There are no debts or mortgages on the house
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There are no written liens or burdens
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The vendor is aware that they must declare any outstanding
private agreements regarding the property.
Typical Costs
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Registration Tax. This is levied at 11% for non-residents,
4% for residents. When purchasing land this is 18%; note that this
includes Stamp Duty (Bolli) which is levied at 1%
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The Notary's fees amount to approximately 2.5% of the
total cadastral value
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Translator Fees - for formal translation of the Rogito,
typically around €350
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The Geometra's fees
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Agency fees
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Any legal fees
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Bank Charges, if a money transfer is involved
One thing to watch out for are agents’ fees which can vary from 2%
upwards!
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